The Availability of Substitutes Makes the Demand for a Good

question 177

True/False

The availability of substitutes makes the demand for a good less elastic.

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Definitions:

Net Exports

The value of a country's total exports minus its total imports; a measure of a nation's foreign trade balance.

Exports

Goods or services produced in one country and sold to buyers in a foreign country.

Adam Smith

An 18th-century Scottish economist and philosopher, best known for his theories on free market economics and the 'invisible hand' concept.

Self-sufficiency

The ability of an individual, household, or country to meet all their needs without external assistance or international trade.